Marketing Essentials Report: Marks and Spencer Case Study

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Marketing Essentials
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Table of Contents
Introduction................................................................................................................. 3
LO1............................................................................................................................. 4
LO2............................................................................................................................. 7
LO3........................................................................................................................... 10
Conclusion................................................................................................................ 15
Reference List...........................................................................................................16
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Introduction
Marketing can be classified as the progression of management that is concerned of
identifying, foreseeing and satisfying the needs and desires of the consumers in a
lucrative and advantageous manner. In other words, it refers to the different activities
or set of establishments and procedures for crafting, delivering and communicating
offerings, which possess value for the stakeholders of the business such as,
partners, clients, customers, and so forth. Marketing can be also considered as the
fundamental marketing idea of exchanging process in order to create value. Here,
the businesses offer necessary services and products to the consumers and the
customers in return provide certain cash in exchange of it. In this context, the main
responsibilities and roles of marketing functions will be discussed. The project will
further outline the relationship between the different marketing roles and the other
functional units of a business. Furthermore, a comparison will be drawn between
different organisations by the application of the 7Ps of marketing mix. Additionally, a
marketing plan will be designed for the chosen business organisation. Here, the case
scenario of “Marks and Spencer” will be considered.
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LO1
P1 Explain the key roles and responsibilities of the marketing function
The marketing department of “Marks and Spencer” has a number of responsibilities
and play a vital role in determining the success of the business. Effective execution
of marketing functions facilitates the business in maintaining a successful relation
with the customers as well as earns better profits. The key responsibilities and roles
of the marketing functions in the concerned business organisation are as follows:
Market Research
Carrying out proper market research is known to be one of the most important
responsibilities of the marketing department. In order to identify the current market
trends of the country wherein “Marks and Spencer” is operating, proper market
research is tremendously significant (Burns et al., 2014). This further helps the
business organisation in getting knowledge of the changing demand and preferences
of the customers. It also helps the company in updating its products and processes
with the ever-changing demand of the customers.
Brand Development
Brand development is another major accountability of the marketing department. It
helps the company in ensuring that the consumers always opt for “Marks and
Spencer” when purchasing any product. The company must take primitive measures
so as to improve and develop the brand name of the company; thereby, attracting
more number of customers in comparison to the other brands. There are various
ways with the help of which the marketing manager can work upon enhancing its
brand image. For instance, the marketing department can develop and implement
effective and successful marketing plans on regular basis. In addition to this, the
marketing heads can plan for innovative and latest promotional strategies; by this
means, keeping the brand name recognized among the consumers (Baldus et al.,
2015).
Conducting Campaign
One of the most important roles of the marketing department is to carry out different
marketing and promotional campaigns. This is significantly done in order to uphold
and endorse its products in the market; in so doing, the marketing department is able
to gain better market recognition as well as improve its customer base. Furthermore,
effective marketing campaigns are known to be a perfect way of reaching out to the
consumers and leads. Developing and producing a series marketing campaigns has
higher probability of gaining attention of more people in comparison to that of single
advertisements (Rose et al., 2014). Therefore, in order to improve the market
position and branding of the retail company, the marketing manager needs to focus
upon conducting successful campaigns.
Monitoring of Social Media
Social media is presently, the most trending and challenging platforms that the
marketing department of different organisations can use to reach out more number
of customers and expand its market share. “Marks and Spencer” and its marketing
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team can also make effective use of this medium so as to enhance its marketing
reach; in this manner, improving its sales and profitability. However, with effective
social media marketing, the marketing department also needs to monitor the
activities being carried out in the different social media platforms. With the
development in digital technology, the business organisation has gained immense
exposure and opportunity of promotion and marketing. However, keeping regular
check on the different social media activities will help the company in identifying the
customer demands and preferences in a better way. It will further help the business
in gaining necessary feedbacks from its target customers; thus, being able to
improve its processes and products (Fan and Gordon, 2014). Additionally, with
effective monitoring, the company will be able to ensure that no erroneous or
inaccurate information is leaked in the internet; by this means, safeguarding the
reputation of the company.
Public Relations
Public relation is known to be an integral and crucial part of the in progress
marketing plan of the company. In other words, it is one of the most successful
promotional strategies of a business. The manager of “Marks and Spencer” need to
work together with the outdoor public relation agencies with the purpose of creating
innovative and new marketing campaigns and performing the same (Theaker, 2016).
Moreover, the marketing manager of the retail company is accountable for
representing the organisation in various occasions and events; thus, being the face
of the company.
P2 Explain how roles and responsibilities of marketing relate to the wider
organisational context.
Modern marketing is referred to as assimilated functions of the business. Here,
irrespective of the possible clashes and conflicts between the different cultures of the
marketing department and the other internal operations, the different departments in
reality have a propensity for redirecting the balance and differences to work together
for carrying out different marketing activities through marketing orientation and
strategic planning. The majority of the large scale organisations make sure that all
the major functional units of the business are focused towards its customers
(McDonald and Wilson, 2016). Therefore, the key purpose of the marketing unit is to
combine the activities of the internal functions of the business like, R&D, Production,
human resource, and so on, so as to fulfil the demand and requirements of the
consumers in a cost effective and profitable manner.
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Figure 1: interrelationship between the marketing department and the other
functional units
(Source: Extracted from support)
The marketing department of “Marks and Spencer” has an effective relationship with
its other functional units. In order to develop and execute effective marketing
activities, the marketing department needs to work in collaboration with the other
departments of the company; by this means, identifying and catering to the demand
and needs of the consumers. To facilitate successful market research, the marketing
department needs to communicate with the finance department so that the
necessary budget required for the research can be allocated (Feng et al., 2015).
Effective market research carried out by the marketing department further allows
successful creation and execution of marketing strategies along with the production
department. The marketing department facilitates the production department in
identifying the production needs; in that way, ensuring proper exploitation of
resources. On contrary, the marketing department is firmly related to the human
resource department of the company. The human resources department identifies
the recruitment needs of the marketing department and hires suitable applicants;
thus, ensuring a strong marketing team for conducting the various promotional and
marketing activities. Hence, it can be stated that, the different functional units of
“Marks and Spencer” is significantly interrelated with the marketing department and
operate together with the intension of carrying out proper marketing and promotional
activities; in so doing, improving the performance and efficiency of the business.
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LO2
P3 Compare the ways in which different organisations apply the marketing mix
to the marketing planning process to achieve business objectives.
With the intension of identifying the different methods in which the business
organisations relate the factors of marketing mix in its process of marketing plan, a
comparison between “Marks and Spencer” and “Tesco Plc” has been carried out.
The comparison is illustrated below:
Factors “Marks and Spencer” Tesco
Product The product range of Marks
& Spencer covers a number
of varieties staring from
clothes for women, men and
kinds. Some of the famous
brands that are sold under
the company are Foot Glove,
Twiggy, Per Una, Indigo,
Classic, Autograph and so
on (Saner, 2013). The
company further provides
furniture and home decors
along with exotic food
products.
Tesco Plc provides its
customer with huge range of
products and services such
as, beauty and health
products, home decor,
clothing and accessories,
frozen food and so on
(Thirdeyesight.in., 2019). It
has possession over a
number of personal brands
such as, “Finest, Tesco
Loves Baby, Everyday
Value, Tesco Kipa, F&F
Clothing”, and so on.
Price The company presently
follows the competitive
pricing strategy. It possesses
its personal house of brands
that are priced amid mid to
high range on account of its
premium quality goods.
However, with the arrival of
online retailers, the level of
competition has increased
considerably; thereby,
compelling the business to
follow the dynamic pricing
approach (Althaher et al.,
2015).
The company offers high
quality products at a
considerably low cost. The
company makes use of the
most effective channels and
economy of scale for the
procurement to keep up with
its low pricing strategy (Nagle
and Müller, 2017). The
company has further
restructured its production
team to provide its
consumers with the best
possible offers.
Place The company being an
international brand
encompasses “more than
1000 outlets in nearly 50
nations. It majorly
operates within the
national grounds of UK
and has near about 850
outlets”. The company also
has considerable presence
The company has more than
6000 stores in near about 11
nations. The company has
four distinctive types of
outlets; that is to say, Tesco
Superstore, Tesco Extra,
Tesco Express, Tesco Metro
(Sparks, 2014). However, in
terms of online presence, the
company has considerably
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in the online market. limited access.
People The company has more than
80,000 employees working
in the numerous stores
throughout the world. The
business organisation
adheres to the competitive
payment strategy; in that
way, retaining the majority of
its employees (Rashid,
2016). Additionally,
excluding the basic pay of
the workforce, the retail
company provides
substantial incentives and
rewards to the employees.
Moreover, the company
provides different health and
safety benefits for its
personnel.
Tesco Plc is known as the
leading supermarkets in the
world. The company provides
employment to a number of
people. The company
adheres to careful policy and
candidate selection; in this
manner, ensuring that the
most effectual and productive
employees are recruited. This
further enables in improving
the productivity and
performance of the company.
Process The retail organisation has
different process of
operation and provides its
consumers with both offline
and online shopping
experience. The company
further ensures to designs its
physical outlets having
separate divisions of men,
kids and women; in so doing,
allowing the consumers with
a great shopping experience.
The company follows a strict
business process wherein,
the company policies are
firmly adhered and are not
deviated at any point. The
other necessary factors that
are considered by the retail
company are capacity of
production level, features of
the service, accessibility and
so forth.
Promotion The company makes use of
both the traditional as well as
contemporary methods of
marketing and promotion; by
this means, reaching out a
larger section of consumers
and promoting its products at
an extensive scale. In
addition to this, the company
makes use of different
endorsement activities such
as, discounts, flash sales,
and so on and as a
consequence attracting more
number of consumers
(Smitka, 2014).
The company has strong and
physically powerful brand
image owing to its low pricing
scheme. The company
employs both traditional and
modern promotional
techniques; thus, reaching
out every section of the
society. The company also
provides special club cards to
its premium customers; thus,
ensuing better customer
loyalty (ORAMAN and
AZABAGAOGLU, 2017).
Physical Evidence The company has a
significant logo that makes
The company makes use of a
number of evidences such
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its recognisable in form of
the public. In addition to this,
the retail company has
presence in almost every
crowded part of UK; thus,
making its products
accessible to the customers.
as, labels, logos, and so on in
order to ensure the
authenticity of its products
and services.
Table 1: Comparison between “Marks and Spencer” and Tesco
(Source: Created by the learner)
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LO3
P4 Produce and evaluate a basic marketing plan for an organisation.
Executive Summary
The marketing plan highlights the core vision and mission of the company along with
its key objective of operation. A succinct analysis of the internal along with external
environment of “Marks and Spencer” has been carried out. In addition to this, the key
target of the business has been identified trough effective STP analysis. A future
marketing mix has been suggested for the betterment of the business along with
necessary plan implementation and control process.
Vision
The vision of “Marks and Spencer” is to improve the expertise of the business and
recuperate its leadership by catering to the changing demands and needs of the
consumers; thus, enhancing their competitiveness
(corporate.marksandspencer.com, 2019).
Mission
The mission of “Marks and Spencer” is to produce products and services with
aspirational quality and deliver the same to the customers
(corporate.marksandspencer.com, 2019).
Objectives
The main objective of the retail company is to improve its customer base and retain
the same; thus, earning better profits.
Situational Analysis
External Analysis
With the intension of analysing the external environment of the company, the
PESTEL analysis has been carried out. It comprises of six significant factors, that is
to say, “political, economic, social, technological, environmental and legal”. With the
intention of function smoothly in the UK market, it is necessary for “Marks and
Spencer” to identify the above-mentioned factors and its impact upon its business
operations.
Factors Analysis
Political UK is known to be the most stable nations in context to politics.
The country has strong political bonds with the other nations;
thus, allowing the retail business to operate successfully in the
country. However, the advancement of Brexit may impose
certain restrictions upon the functions and operations of the
business. The cost of labour will increase due to the exit of UK
from the EU (Dhingra, et al., 2016). Additionally, the prices of
imported goods will also increase; thereby, imposing financial
crisis upon “Marks and Spencer”.
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Economic UK is believed to be highly stable in terms of economy.
However, the advent of Brexit may have momentous implications
upon business operations of “Marks and Spencer”. Additionally,
the inflation rate in the country will increase due to the Brexit
phenomenon; thus, increasing the cost of living of the individuals
of the country (Dhingra, et al., 2016). This may further affect the
business of the retail country.
Social The population of UK mainly belong to the age group of ranging
between the min-aged to elderly people. This further asserts that
the dependency rate of the country is more in comparison to
other countries. This may affect the sales of the business.
Furthermore, standard of living of the people in the country is
considerably high; this may have positive impact upon the
business of the company, as they will be able to market and sell
their premium products in a better manner. Additionally,
population of UK are extremely health conscious; thereby,
allowing the company with the opportunity to come up organic
and healthy products; thus, improving their customer base and
sales.
Technological UK, being a highly technologically advanced nation, provides the
retail organisation with huge opportunity of advancement in
terms of business processes and product innovation through
improved research and development activities (Castells, 2014).
The company can further make use of the technological
advancements of the nation to enhance its marketing operations
through social media and other promotional sites.
Environmental Due to the environmental degradation in the country, the
government of the country has inflicted a number of regulations
upon the retail sector. This makes it necessary for “Marks and
Spencer” to carry out sustainable activities along with effective
corporate social responsibility; thus, benefiting the environment
of the country as well as earning better reputation and brand
image in the market.
Legal The government of the country has enforces a number of laws
and legislations upon the retail industry. It is necessary for the
business to adhere to the imposed laws of the country such as,
“Equality Act”, “Minimum Wage Act”, “Employment Act”,
“Consumer Protection Act”, “Environmental Protection Act” and
so forth (Chemerinsky, 2016).
Table 2: PESTEL analysis of “Marks and Spencer”
(Source: Created by the learner)
Internal analysis
With the intention of analysing the internal environment of the business, the following
SWOT analysis has been carried out.
Strength Weakness
 The company provides strong
offerings aligned with the most
 The company is highly reliant
upon the UK markets, which is
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recent market trends.
 The company has strong
infrastructure in terms of e-
commerce.
 “Marks and Spencer” is involved in
highly effective CSR activities
(Jones et al., 2014).
 It mainly focuses on improving
customer experience.
affecting the business operations
of the company across borders.
 The company has issues in terms
of its supply chain scalability and
is not being able to successful
providing global access of its
products.
 The company has poor economic
performance in comparison to its
competitors.
Opportunity Threats
 “Marks and Spencer” has the
opportunity of increasing its
business in the developing
markets
 It can come up with other products
segments; thus, enhancing its
sales and profitability.
 The company can work towards
abridging their functional model as
well as improve its supply chain
(Tang, 2018).
 The impact of Brexit may result in
excessive reduction in sterling
 The level of rivalry in UK is
extremely high. This is making it
difficult for the retail company to
survive in the exceedingly
aggressive market.
 The continuous change in the
market trends and demand is
another major threat for the
company.
Table 3: SWOT analysis of “Marks and Spencer”
(Source: Created by the learner)
Segmentation, Targeting, Positioning (STP)
Segmenting
“Marks and Spencer” must ensure segmenting its market prior developing a
marketing plan. It must segregate its customers by identifying their demand and
needs. The company must segment its consumers based on their economic status,
into different distinctive groups. It must further segment the customers based on their
income and accordingly review their psychographic prototype.
Targeting
The company needs to identify and target the segment group that will facilitate
ingenerating maximum profits from the business. The higher income segment will
effortlessly purchase the premium products of the company; however, the lower
income segment may evaluate and contrast the prices at every level.
Positioning
The company already posses a strong hold over the higher income segment; thus,
benefiting from its premium product range. However, the company must focus upon
the lower income segment by providing discounts and offers and economically
buyable products.
Marketing Mix
Factors Analysis
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